What happened
Shares of travel-recommendation company TripAdvisor (TRIP +7.38%) declined on Friday, falling as much as 5.1%. The stock finished the trading day about 2.8% lower.
The stock's decline follows a sharp pullback in the stock price earlier this week as investors reacted to the company's first-quarter earnings release. Friday's decline is likely a continuation of this sell-off, as analysts are cutting their 12-month price targets on the stock.
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So what
On Tuesday, TripAdvisor announced first-quarter revenue of $376 million. This figure was down 1% year over year and missed analysts' consensus forecast by more than $10 million.
TripAdvisor's non-GAAP net income, however, increased a nice 21% year over year over the same time frame.
On Thursday, analysts from DA Davidson, Wedbush, and Barclays all lowered their price targets by $7 or more, according to TheFly, although DA Davidson and Wedbush maintained their neutral ratings for the stock and Barclays kept an overweight rating.
Now what
For the current quarter, TripAdvisor said in its first-quarter earnings call that April was "a little slower than we expected, so we saw some continuation of trends, we didn't see the robust pickup that we saw a year earlier." But management also said it expects things to pick up in the second half of the year.
Shares declined a total of 13.8% during the week.
